Reinforcement Learning
When AI Trading Agents Compete: Adverse Selection of Meta-Orders by Reinforcement Learning-Based Market Making
Jafree, Ali Raza, Jain, Konark, Firoozye, Nick
We investigate the mechanisms by which medium-frequency trading agents are adversely selected by opportunistic high-frequency traders. We use reinforcement learning (RL) within a Hawkes Limit Order Book (LOB) model in order to replicate the behaviours of high-frequency market makers. In contrast to the classical models with exogenous price impact assumptions, the Hawkes model accounts for endogenous price impact and other key properties of the market (Jain et al. 2024a). Given the real-world impracticalities of the market maker updating strategies for every event in the LOB, we formulate the high-frequency market making agent via an impulse control reinforcement learning framework (Jain et al. 2025). The RL used in the simulation utilises Proximal Policy Optimisation (PPO) and self-imitation learning. To replicate the adverse selection phenomenon, we test the RL agent trading against a medium frequency trader (MFT) executing a meta-order and demonstrate that, with training against the MFT meta-order execution agent, the RL market making agent learns to capitalise on the price drift induced by the meta-order. Recent empirical studies have shown that medium-frequency traders are increasingly subject to adverse selection by high-frequency trading agents. As high-frequency trading continues to proliferate across financial markets, the slippage costs incurred by medium-frequency traders are likely to increase over time. However, we do not observe that increased profits for the market making RL agent necessarily cause significantly increased slippages for the MFT agent.
Reinforcement Learning for Long-Horizon Unordered Tasks: From Boolean to Coupled Reward Machines
Levina, Kristina, Pappas, Nikolaos, Karapantelakis, Athanasios, Feljan, Aneta Vulgarakis, Seipp, Jendrik
Reward machines (RMs) inform reinforcement learning agents about the reward structure of the environment. This is particularly advantageous for complex non-Markovian tasks because agents with access to RMs can learn more efficiently from fewer samples. However, learning with RMs is ill-suited for long-horizon problems in which a set of subtasks can be executed in any order. In such cases, the amount of information to learn increases exponentially with the number of unordered subtasks. In this work, we address this limitation by introducing three generalisations of RMs: (1) Numeric RMs allow users to express complex tasks in a compact form. (2) In Agenda RMs, states are associated with an agenda that tracks the remaining subtasks to complete. (3) Coupled RMs have coupled states associated with each subtask in the agenda. Furthermore, we introduce a new compositional learning algorithm that leverages coupled RMs: Q-learning with coupled RMs (CoRM). Our experiments show that CoRM scales better than state-of-the-art RM algorithms for long-horizon problems with unordered subtasks.
Diabetes Lifestyle Medicine Treatment Assistance Using Reinforcement Learning
Type 2 diabetes prevention and treatment can benefit from personalized lifestyle prescriptions. However, the delivery of personalized lifestyle medicine prescriptions is limited by the shortage of trained professionals and the variability in physicians' expertise. We propose an offline contextual bandit approach that learns individualized lifestyle prescriptions from the aggregated NHANES profiles of 119,555 participants by minimizing the Magni glucose risk-reward function. The model encodes patient status and generates lifestyle medicine prescriptions, which are trained using a mixed-action Soft Actor-Critic algorithm. The task is treated as a single-step contextual bandit. The model is validated against lifestyle medicine prescriptions issued by three certified physicians from Xiangya Hospital. These results demonstrate that offline mixed-action SAC can generate risk-aware lifestyle medicine prescriptions from cross-sectional NHANES data, warranting prospective clinical validation.
Offline Clustering of Preference Learning with Active-data Augmentation
Liu, Jingyuan, Ghaffari, Fatemeh, Wang, Xuchuang, Liu, Xutong, Hajiesmaili, Mohammad, Joe-Wong, Carlee
Preference learning from pairwise feedback is a widely adopted framework in applications such as reinforcement learning with human feedback and recommendations. In many practical settings, however, user interactions are limited or costly, making offline preference learning necessary. Moreover, real-world preference learning often involves users with different preferences. For example, annotators from different backgrounds may rank the same responses differently. This setting presents two central challenges: (1) identifying similarity across users to effectively aggregate data, especially under scenarios where offline data is imbalanced across dimensions, and (2) handling the imbalanced offline data where some preference dimensions are underrepresented. To address these challenges, we study the Offline Clustering of Preference Learning problem, where the learner has access to fixed datasets from multiple users with potentially different preferences and aims to maximize utility for a test user. To tackle the first challenge, we first propose Off-C$^2$PL for the pure offline setting, where the learner relies solely on offline data. Our theoretical analysis provides a suboptimality bound that explicitly captures the tradeoff between sample noise and bias. To address the second challenge of inbalanced data, we extend our framework to the setting with active-data augmentation where the learner is allowed to select a limited number of additional active-data for the test user based on the cluster structure learned by Off-C$^2$PL. In this setting, our second algorithm, A$^2$-Off-C$^2$PL, actively selects samples that target the least-informative dimensions of the test user's preference. We prove that these actively collected samples contribute more effectively than offline ones. Finally, we validate our theoretical results through simulations on synthetic and real-world datasets.
Mano Technical Report
Fu, Tianyu, Su, Anyang, Zhao, Chenxu, Wang, Hanning, Wu, Minghui, Yu, Zhe, Hu, Fei, Shi, Mingjia, Dong, Wei, Wang, Jiayao, Chen, Yuyang, Yu, Ruiyang, Peng, Siran, Li, Menglin, Huang, Nan, Wei, Haitian, Yu, Jiawei, Xin, Yi, Zhao, Xilin, Gu, Kai, Jiang, Ping, Zhou, Sifan, Wang, Shuo
Graphical user interfaces (GUIs) are the primary medium for human-computer interaction, yet automating GUI interactions remains challenging due to the complexity of visual elements, dynamic environments, and the need for multi-step reasoning. Existing methods based on vision-language models (VLMs) often suffer from limited resolution, domain mismatch, and insufficient sequential decisionmaking capability. To address these issues, we propose Mano, a robust GUI agent built upon a multi-modal foundation model pre-trained on extensive web and computer system data. Our approach integrates a novel simulated environment for high-fidelity data generation, a three-stage training pipeline (supervised fine-tuning, offline reinforcement learning, and online reinforcement learning), and a verification module for error recovery. Mano demonstrates state-of-the-art performance on multiple GUI benchmarks, including Mind2Web and OSWorld, achieving significant improvements in success rate and operational accuracy. Our work provides new insights into the effective integration of reinforcement learning with VLMs for practical GUI agent deployment, highlighting the importance of domain-specific data, iterative training, and holistic reward design.
Algorithmic Collusion of Pricing and Advertising on E-commerce Platforms
When online sellers use AI learning algorithms to automatically compete on e-commerce platforms, there is concern that they will learn to coordinate on higher than competitive prices. However, this concern was primarily raised in single-dimension price competition. We investigate whether this prediction holds when sellers make pricing and advertising decisions together, i.e., two-dimensional decisions. We analyze competition in multi-agent reinforcement learning, and use a large-scale dataset from Amazon.com to provide empirical evidence. We show that when consumers have high search costs, learning algorithms can coordinate on prices lower than competitive prices, facilitating a win-win-win for consumers, sellers, and platforms. This occurs because algorithms learn to coordinate on lower advertising bids, which lower advertising costs, leading to lower prices and enlarging demand on the platform. We also show that our results generalize to any learning algorithm that uses exploration of price and advertising bids. Consistent with our predictions, an empirical analysis shows that price levels exhibit a negative interaction between estimated consumer search costs and algorithm usage index. We analyze the platform's strategic response and find that reserve price adjustments will not increase platform profits, but commission adjustments will, while maintaining the beneficial outcomes for both sellers and consumers.
Hybrid DQN-TD3 Reinforcement Learning for Autonomous Navigation in Dynamic Environments
He, Xiaoyi, Chen, Danggui, Zhang, Zhenshuo, Bai, Zimeng
This paper presents a hierarchical path-planning and control framework that combines a high-level Deep Q-Network (DQN) for discrete sub-goal selection with a low-level Twin Delayed Deep Deterministic Policy Gradient (TD3) controller for continuous actuation. The high-level module selects behaviors and sub-goals; the low-level module executes smooth velocity commands. We design a practical reward shaping scheme (direction, distance, obstacle avoidance, action smoothness, collision penalty, time penalty, and progress), together with a LiDAR-based safety gate that prevents unsafe motions. The system is implemented in ROS + Gazebo (TurtleBot3) and evaluated with PathBench metrics, including success rate, collision rate, path efficiency, and re-planning efficiency, in dynamic and partially observable environments. Experiments show improved success rate and sample efficiency over single-algorithm baselines (DQN or TD3 alone) and rule-based planners, with better generalization to unseen obstacle configurations and reduced abrupt control changes. Code and evaluation scripts are available at the project repository.
Human-assisted Robotic Policy Refinement via Action Preference Optimization
Xia, Wenke, Yang, Yichu, Wu, Hongtao, Ma, Xiao, Kong, Tao, Hu, Di
Establishing a reliable and iteratively refined robotic system is essential for deploying real-world applications. While Vision-Language-Action (VLA) models are widely recognized as the foundation model for such robotic deployment, their reliance on offline expert demonstrations critically limits their capacity for post-deployment refinement. To mitigate this limitation, we introduce Action Preference Optimization (APO), a method designed to refine VLA models by human-assisted preference alignment gathered through interaction with environments. This method begins with a human-robot collaboration framework for reliable failure correction and interaction trajectory collection through human intervention. However, directly leveraging these interaction trajectories for preference optimization is non-trivial due to the challenges of irreversible robotic actions and token distribution mismatch. To solve this, APO proposes an adaptive reweighting algorithm with binary desirability signals derived from interaction, empowering VLA models effectively suppress failure-prone actions while enhancing corrective action adaptation. Ultimately, APO equips VLA models with the crucial capability to learn from failure, paving the way for their iterative refinement and reliable deployment in dynamic environments. The experiments conducted in simulation and real-world scenarios prove superior generalization and robustness of our human-assisted framework across a variety of manipulation tasks. We believe this work could bring insights for efficient and stable optimization of VLA models through human-robot collaboration. The code and dataset are released at https://github.com/GeWu-Lab/Action-Preference-Optimization
Oryx: a Scalable Sequence Model for Many-Agent Coordination in Offline MARL
Formanek, Claude, Mahjoub, Omayma, Nessir, Louay Ben, Abramowitz, Sasha, de Kock, Ruan, Khlifi, Wiem, Rajaonarivonivelomanantsoa, Daniel, Toit, Simon Du, Fokam, Arnol, Singh, Siddarth, Sob, Ulrich Mbou, Chalumeau, Felix, Pretorius, Arnu
A key challenge in offline multi-agent reinforcement learning (MARL) is achieving effective many-agent multi-step coordination in complex environments. In this work, we propose Oryx, a novel algorithm for offline cooperative MARL to directly address this challenge. Oryx adapts the recently proposed retention-based architecture Sable and combines it with a sequential form of implicit constraint Q-learning (ICQ), to develop a novel offline autoregressive policy update scheme. This allows Oryx to solve complex coordination challenges while maintaining temporal coherence over long trajectories. We evaluate Oryx across a diverse set of benchmarks from prior works -- SMAC, RWARE, and Multi-Agent MuJoCo -- covering tasks of both discrete and continuous control, varying in scale and difficulty. Oryx achieves state-of-the-art performance on more than 80% of the 65 tested datasets, outperforming prior offline MARL methods and demonstrating robust generalisation across domains with many agents and long horizons. Finally, we introduce new datasets to push the limits of many-agent coordination in offline MARL, and demonstrate Oryx's superior ability to scale effectively in such settings.
Self-Evolving Curriculum for LLM Reasoning
Chen, Xiaoyin, Lu, Jiarui, Kim, Minsu, Zhang, Dinghuai, Tang, Jian, Piché, Alexandre, Gontier, Nicolas, Bengio, Yoshua, Kamalloo, Ehsan
Reinforcement learning (RL) has proven effective for fine-tuning large language models (LLMs), significantly enhancing their reasoning abilities in domains such as mathematics and code generation. A crucial factor influencing RL fine-tuning success is the training curriculum: the order in which training problems are presented. While random curricula serve as common baselines, they remain suboptimal; manually designed curricula often rely heavily on heuristics, and online filtering methods can be computationally prohibitive. To address these limitations, we propose Self-Evolving Curriculum (SEC), an automatic curriculum learning method that learns a curriculum policy concurrently with the RL fine-tuning process. Our approach formulates curriculum selection as a non-stationary Multi-Armed Bandit problem, treating each problem category (e.g., difficulty level or problem type) as an individual arm. We leverage the absolute advantage from policy gradient methods as a proxy measure for immediate learning gain. At each training step, the curriculum policy selects categories to maximize this reward signal and is updated using the TD(0) method. Across three distinct reasoning domains: planning, inductive reasoning, and mathematics, our experiments demonstrate that SEC significantly improves models' reasoning capabilities, enabling better generalization to harder, out-of-distribution test problems. Additionally, our approach achieves better skill balance when fine-tuning simultaneously on multiple reasoning domains. These findings highlight SEC as a promising strategy for RL fine-tuning of LLMs.